Cassellholme redevelopment clears hurdle

The long-delayed redevelopment of Cassellholme Home for the Aged has cleared another hurdle, and only needs Ministry of Health and Long-Term Care approval to get to tender.

But it won’t be until the tenders are called that the final price tag of the project will be known, says Coun. Chris Mayne, chairman of the Cassellholme board of directors.

The last estimate for the project – it’s about five years old now – was $62 million, but “until we go to tender, no one knows what the cost will be.”

North Bay council will ask the ministry to “obtain all of the government approvals that are necessary” to start the redevelopment of Cassellholme “as soon as is reasonably possible,” in a motion to be tabled at tonight’s meeting.

And although Mayne says he hopes shovels could be in the ground this year, he admits that hope has been expressed in the past, as well.

The latest hurdle was a decision by the Township of South Algonquin to “exit” the process.

“What happened was last August, South Algonquin felt conditions were favourable to exit from the Cassellholme district long-term care funding agreement,” Mayne says.

In a letter to South Algonquin, Mayne notes the township “also rejected the exit arrangements that South Algonquin itself had agreed to as part of the board of management.”

South Algonquin is the fifth municipality to leave the board of management, although the other four reconfirmed their acceptance of the exit agreement.

Under that agreement, Mattawa, Mattawan, Papineau-Cameron and Calvin agreed to pay the capital portion of the redevelopment which they had already committed to, although they were excused from contributing to the operating costs.

Mayne says the Cassellholme board has released South Algonquin from future capital contributions to the redevelopment, following discussions with the provincial ministry.

“South Algonquin’s actions in this regard have caused the Ministry of Health and Long-Term Care to pause progress on Cassellholme’s redevelopment,” Mayne says, a six-month delay that just added to previous delays for the project.

Mayne admits losing five funding parties for the project “is a concern,” noting they contribute a combined eight per cent of the total operating budget for Cassellholme.

North Bay contributes approximately 80 per cent of the operating budget

But he is confident that revenue-generating proposals, such as commercializing the north wing and management services for other homes, will make the costs “manageable.”

The Cassellholme board was optimistic the final approvals were in hand early last year, when the former Liberal government announced it was adding 5,000 beds across the province. In fact, the Cassellholme board was encouraged to apply for more beds.

But the local project was left out of the initial funding announcement, and the provincial election followed shortly after.

Mayne says part of the justification for allowing South Algonquin to leave is that the community has historically had no residents at Cassellholme and has no residents employed at Cassellholme.

The mayors of the other eight municipalities have agreed each will pass motions to proceed with Cassellholme redevelopment on the previously agreed terms and conditions, and that each will write to the minister of Health and Long-Term Care, requesting that the province not include South Algonquin in any amendments to provincial regulations.

The province provides about 70 per cent of the operating costs for Cassellholme, while residents and municipalities are each responsible for about 15 per cent.

North Bay’s contribution for operating costs is about 80 per cent of the municipal commitment, or about $2 million a year.